Managing Problem Employees and Legal Risks in Massachusetts: Essential Guidance
Minimizing Risk With Difficult EmployeesManaging problem employees is a common challenge for employers. It's crucial to handle these situations carefully to protect your business interests and minimize legal risks. This guide provides practical advice for employers on how to navigate these issues effectively.
Act LawfullyEven when disciplining or terminating an employee for valid reasons, it's crucial to avoid unintentionally running afoul of anti-discrimination and retaliation laws. In today's workplace, virtually all employees fall into one or more protected classes, including age, gender, disability, sexual orientation and gender identity, race, religion, and national origin. Protected activities for retaliation law encompass a wide range of actions, such as requesting family/medical leave, raising concerns under wage and hour laws, filing workers' compensation claims, and more.
Review our Employer's Guide to Discrimination, Harassment and Retaliation. Act FairlyWhile it may not be illegal to act unfairly, employees who perceive unfair treatment are more likely to question the legality of their termination. It's essential to remember that the rest of your team is observing how you handle a difficult employee.
Learn more at Fair Treatment as Risk Management. Act PromptlyOnce you've determined that termination is necessary for legitimate reasons and in good faith, do not delay taking action. Prolonging an unsustainable situation does no favors for the employee and increases your legal risk. An employee sensing they are "on the ropes" becomes a liability the longer they remain in the workplace.
Do Not Hand Your Problem Employee a Loaded Weapon: Wage and Hour LawsOne common mistake employers make when addressing problematic employee behavior is allowing innocent wage and hour law violations. This could involve delaying final paychecks past the termination date, miscalculating hours or overtime, withholding earned but unpaid commissions, or deducting amounts from a final paycheck. These actions are actionable under wage and hour laws and carry strict penalties, regardless of intent.
Review the most common wage and hour mistakes on termination. Plan to Make This a One-Time ProblemAfter resolving a difficult employee situation, reflect on what went wrong and how to prevent it in the future. Consider whether improvements can be made in the recruitment and hiring process, role clarity, training, or addressing interpersonal dynamics within your team. Identifying early intervention opportunities can help avoid long-term issues. It is also a good idea to review your employment policies to make sure your expectations and processes are clearly laid out.
Cultivate Your Support Network Among Other Small Business OwnersSmall business owners often lack peers within their companies to discuss management challenges. People management and HR are not typically taught and can be time-consuming. However, connecting with other business owners facing similar challenges through mastermind groups, local chamber events, or business associations can provide valuable perspectives and insights on managing teams and addressing common issues.
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When to Seek Legal Advice
Optimize Your Employment Policies and Minimize Risk
Ideally, you've already had a comprehensive review of your basic employment policies and compensation plans to ensure there are no unintended legal risks in those areas. If you haven't, especially if you're contemplating disciplinary actions or employee termination, it's highly advisable to conduct this essential legal health check.
Seek Expert Guidance Before Taking Action
Furthermore, before you make any formal announcements regarding disciplinary measures or termination, consider enlisting the assistance of an experienced employment attorney. They can thoroughly review the situation, evaluate potential risks, and provide expert guidance on how to achieve your objectives while simultaneously minimizing any associated legal liabilities. You can also review our Employer's Termination Guide.
Ideally, you've already had a comprehensive review of your basic employment policies and compensation plans to ensure there are no unintended legal risks in those areas. If you haven't, especially if you're contemplating disciplinary actions or employee termination, it's highly advisable to conduct this essential legal health check.
Seek Expert Guidance Before Taking Action
Furthermore, before you make any formal announcements regarding disciplinary measures or termination, consider enlisting the assistance of an experienced employment attorney. They can thoroughly review the situation, evaluate potential risks, and provide expert guidance on how to achieve your objectives while simultaneously minimizing any associated legal liabilities. You can also review our Employer's Termination Guide.
Conclusion
Effectively managing problem employees and minimizing legal risks is essential for businesses in Massachusetts. By understanding and complying with employment laws, implementing clear policies, addressing performance issues promptly, and seeking legal advice when necessary, employers can foster a positive work environment while reducing legal liabilities. Remember, proactive measures and adherence to best practices are key to success in managing employees and mitigating legal risk.
Meet Our Employment Lawyers
Emily Smith-Lee is the owner and founder of slnlaw. She is a 1996 graduate of Boston College Law School. She was previously a partner at the Boston office of a large international firm, where she worked for thirteen years before starting the firm that became slnlaw in 2009. She has been recognized as Massachusetts Superlawyer each year since 2013, and in 2018 earned recognition as one of Massachusetts Lawyers Weekly's Lawyers of the Year. She has written a book on employment law: Rules of the Road, What You Need to Know About Employment Laws in Massachusetts, and helped thousands of clients on both the employee and employer side with severance and non compete review and negotiation, wage and hour, discrimination and retaliation disputes, and advice about employment law generally.
Rebecca Rogers: Rebecca is a 2006 graduate of Boston College Law School, and has worked with slnlaw since 2013. She previously worked as an intellectual property litigation attorney for Fish & Richardson in Boston, Massachusetts, and clerked for the Massachusetts Supreme Judicial Court. Rebecca has helped clients with wage and hour disputes, employment discrimination and retaliation claims, review and negotiation of severance and non compete agreements, and advice to both employees and employers about navigating complex employment situations.
Jenna Ordway: Jenna is a 2013 graduate of Quinnipiac Law School, and also earned an LLM in Taxation from Boston University in 2015. She has been affiliated with slnlaw since 2011, first as a law clerk and then as an attorney. Jenna has been recognized since 2019 as a "Rising Star" by Massachusetts Superlawyers. Jenna has helped clients with review and negotiation of severance and non compete agreements, wage and hour disputes, employment and discrimination claims, and advice to small business owners about employment law and other business matters.
Elijah Bresley: Eli is a 2014 graduate of Seton Hall Law school, and has worked with slnlaw since 2020. He previously worked for a boutique employment law firm outside of Boston, and then for the Labor and Employment department of a large Boston firm. He also spent a year clerking for the judges of the Superior Court in Hartford, Connecticut. Eli has helped clients on the employee and employer side with all varieties of employment law issues, including employment discrimination, retaliation, and wage and hour issues, litigation in MCAD and state and federal courts, and advising employers about employment policies and practices.
Sharleen Tinnin: Sharleen is a 2010 graduate of Northeastern University School of Law, and has been with slnlaw since 2023. Prior to joining slnlaw, she worked with King, Tilden, McEttrick & Brink, P.C. on complex civil litigation matters. She previously worked for the United States Department of Justice, and received an "Excellence in Justice" award in 2017. Sharleen has helped clients with wage and hour, discrimination and retaliation disputes, review and negotiation of severance agreements, and litigation in MCAD and state and federal courts on employment related issues.
How We Can Help
Our experienced team provides tailored advice and legal insights to help you navigate employee management and legal compliance challenges in Massachusetts. You can use the button below to schedule a call back from a member of our team, or give us a call at 781-784-2322.
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